KOLKATA: Utkarsh Small Finance Bank has received market regulator Securities and Exchange Board of India’s (SEBI) approval for an initial public offer of Rs 1350 crore.
The IPO consists of fresh issue of shares to raise up to Rs 750 crore and an offer for sale of up to Rs 600 crore by the existing shareholder Utkarsh Coreinvest Ltd.
This makes the Varanasi-headquartered Utkarsh the sixth small finance bank to get Sebi’s nod for IPO. Three banks, namely
, Equitas Small Finance Bank, are already listed while ESAF Small Finance Bank is in the process of getting a fresh approval after its existing approval missed its deadline.
Utkasrh intends to utilize the net proceeds from the fresh issue to augment its tier 1 capital for business expansion. The lender may consider raising Rs 250 crore in a pre-IPO placement. If it does, the amount will be reduced from the fresh issue size.
